Contrasting BioMarin Pharmaceutical (NASDAQ:BMRN) & Jazz Pharmaceuticals (NASDAQ:JAZZ)

BioMarin Pharmaceutical (NASDAQ:BMRN) and Jazz Pharmaceuticals (NASDAQ:JAZZ) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, institutional ownership, valuation, dividends and analyst recommendations.

Volatility and Risk

BioMarin Pharmaceutical has a beta of 0.31, meaning that its stock price is 69% less volatile than the S&P 500. Comparatively, Jazz Pharmaceuticals has a beta of 0.57, meaning that its stock price is 43% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings for BioMarin Pharmaceutical and Jazz Pharmaceuticals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BioMarin Pharmaceutical	0	7	15	1	2.74
Jazz Pharmaceuticals	0	3	12	0	2.80

BioMarin Pharmaceutical presently has a consensus price target of $94.20, suggesting a potential upside of 44.83%. Jazz Pharmaceuticals has a consensus price target of $175.33, suggesting a potential upside of 44.21%. Given BioMarin Pharmaceutical’s higher probable upside, equities analysts plainly believe BioMarin Pharmaceutical is more favorable than Jazz Pharmaceuticals.

Insider and Institutional Ownership

98.7% of BioMarin Pharmaceutical shares are held by institutional investors. Comparatively, 89.1% of Jazz Pharmaceuticals shares are held by institutional investors. 1.9% of BioMarin Pharmaceutical shares are held by insiders. Comparatively, 4.2% of Jazz Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares BioMarin Pharmaceutical and Jazz Pharmaceuticals”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BioMarin Pharmaceutical	$2.42 billion	5.12	$167.65 million	$1.67	38.95
Jazz Pharmaceuticals	$3.99 billion	1.84	$414.83 million	$7.10	17.12

Jazz Pharmaceuticals has higher revenue and earnings than BioMarin Pharmaceutical. Jazz Pharmaceuticals is trading at a lower price-to-earnings ratio than BioMarin Pharmaceutical, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares BioMarin Pharmaceutical and Jazz Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BioMarin Pharmaceutical	11.71%	8.53%	6.40%
Jazz Pharmaceuticals	11.60%	29.30%	9.72%

Summary

Jazz Pharmaceuticals beats BioMarin Pharmaceutical on 8 of the 15 factors compared between the two stocks.

About BioMarin Pharmaceutical

BioMarin Pharmaceutical Inc. develops and commercializes therapies for people with serious and life-threatening rare diseases and medical conditions. Its commercial products include Vimizim, an enzyme replacement therapy for the treatment of mucopolysaccharidosis (MPS) IV type A, a lysosomal storage disorder; Naglazyme, a recombinant form of N-acetylgalactosamine 4-sulfatase for patients with MPS VI; and Kuvan, a proprietary synthetic oral form of 6R-BH4 that is used to treat patients with phenylketonuria (PKU), an inherited metabolic disease. The company's commercial products also comprise Palynziq, a PEGylated recombinant phenylalanine ammonia lyase enzyme, which is delivered through subcutaneous injection to reduce blood Phe concentrations; Brineura, a recombinant human tripeptidyl peptidase 1 for the treatment of patients with ceroid lipofuscinosis type 2, a form of Batten disease; Voxzogo, a once daily injection analog of c-type natriuretic peptide for the treatment of achondroplasia; and Aldurazyme, a purified protein designed to be identical to a naturally occurring form of the human enzyme alpha-L-iduronidase. In addition, it develops Roctavian, an adeno associated virus vector, for the treatment of patients with severe hemophilia A. The company serves specialty pharmacies, hospitals, and non-U.S. government agencies, as well as distributors and pharmaceutical wholesalers in the United States, Europe, Latin America, and internationally. BioMarin Pharmaceutical Inc. has license and collaboration agreements with Sarepta Therapeutics, Ares Trading S.A., Catalyst Pharmaceutical Partners, Inc. The company was incorporated in 1996 and is headquartered in San Rafael, California.

About Jazz Pharmaceuticals

Jazz Pharmaceuticals plc identifies, develops, and commercializes pharmaceutical products for unmet medical needs in the United States, Europe, and internationally. The company offers Xywav for cataplexy or excessive daytime sleepiness (EDS) with narcolepsy and idiopathic hypersomnia; Xyrem to treat cataplexy or EDS with narcolepsy; Epidiolex for seizures associated with Lennox-Gastaut and Dravet syndromes, or tuberous sclerosis complex; Zepzelca to treat metastatic small cell lung cancer, or with disease progression on or after platinum-based chemotherapy; Rylaze for acute lymphoblastic leukemia or lymphoblastic lymphoma; Enrylaze to treat acute lymphoblastic leukemia and lymphoblastic lymphoma; Defitelio to treat severe hepatic veno-occlusive disease; and Vyxeos for newly-diagnosed therapy-related acute myeloid leukemia. It also develops Zanidatamab to treat HER2-expressing gastroesophageal adenocarcinoma (GEA), and patients with HER2-expressing metastatic GEA; Zepzelca for the treatment of patients with select relapsed/refractory solid tumors based on limited response in three solid tumor cohorts; JZP815, a pan-RAF kinase inhibitor that targets components of the mitogen-activated protein kinase; JZP898, a conditionally-activated interferon alpha molecule; Epidiolex to treat LGS, DS, and TSC; Suvecaltamide to treat parkinson’s disease tremor; JZP150, a fatty acid amide hydrolase inhibitor program to treat post-traumatic stress disorder; and JZP441 to treat narcolepsy, IH, and other sleep disorders. The company has licensing and collaboration agreements with XL-protein GmbH to extend the plasma half-life of selected asparaginase product candidates; Redx Pharma plc for preclinical activities Ras/Raf/MAP kinase pathway program; and Autifony Therapeutics Limited on discovering and developing drug candidates targeting two different ion channel targets associated with neurological disorders. The company was incorporated in 2003 and is headquartered in Dublin, Ireland.